Liberty Reserve was shut down on Friday 24 May 2013

[aodat2]

Liberty Reserve, one of the biggest payment processor and money transfer system in the world has been shut down by the police on Friday May 24, 2013.

The system which is mainly used by the underworld and cybercrime criminals was shut down by the Costa Rican and USA Police Joint Raid.

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I've found this news really interesting to follow as I do see many legitimate companies using and accepting Liberty Reserve as a form of payment for their products and etc. Even a few of my friends who are actually doing e-currency exchange was caught off-guard by this sudden shutdown and is currently having tens of thousands if not more in their system.

I truly wonder if they will be back again or not as there is not further news on this issue anywhere else at all. Not even the US or Costa Rican Government is putting out any news on this topic yet. However it could be seen that their website is not basically pointing to the nameservers of ShadowServer.

More about Shadow Server could be found at:

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The biggest question right now which is going through everyone's mind is "Will Liberty Reserve Ever Come Back?"

 

[Mousey]

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...The people who accepted Liberty Reserve’s currency were “overwhelmingly criminal in nature,” according to the indictment.

“They included, for example: traffickers of stolen credit card data and personal identity information; peddlers of various types of online Ponzi and get-rich-quick schemes; computer hackers for hire; unregulated gambling enterprises; and underground drug-dealing Web sites,” according to the indictment.

Despite the case against Liberty Reserve, security experts said, there were plenty of online payment systems that allow users to move money without verifying their identities....

 

[chayton]

Thanks for this, I just saw the crawl at the bottom of the news and only caught Costa Rica, $55 million, and US transactions! I knew someone here would know what it was about!

 

[san186]

liberty reserve was shady as fuck. I know a few forums that this closure has fucked up. long live bitcoin.

 

[Stovetopp]

Liberty Reserve, one of the biggest payment processor and money transfer system in the world has been shut down by the police on Friday May 24, 2013.

The system which is mainly used by the underworld and cybercrime criminals was shut down by the Costa Rican and USA Police Joint Raid.

You do not have permission to view link Log in or register now.

I've found this news really interesting to follow as I do see many legitimate companies using and accepting Liberty Reserve as a form of payment for their products and etc. Even a few of my friends who are actually doing e-currency exchange was caught off-guard by this sudden shutdown and is currently having tens of thousands if not more in their system.

I truly wonder if they will be back again or not as there is not further news on this issue anywhere else at all. Not even the US or Costa Rican Government is putting out any news on this topic yet. However it could be seen that their website is not basically pointing to the nameservers of ShadowServer.

More about Shadow Server could be found at:

You do not have permission to view link Log in or register now.

The biggest question right now which is going through everyone's mind is "Will Liberty Reserve Ever Come Back?"

According to an article in the NY Times this am , all legitimate claims can be made and I imagine if you are not a drug dealer or a money launderer you will be able to get your funds back.
The closing of Liberty Reserve last week seemed to have an immediate chilling effect on its customers, who were suddenly unable to access their funds and who posted anxious comments in underground forums, according to law enforcement officials. Mr. Bharara said the exchange’s clientele was largely made up of criminals, but he invited any legitimate users to contact his office to get their money back.

 

[liverpool10]

Why is bitcoin any different? I understand they accept dubious money too and if so shouldn't they fall under same rules and be shut down?

liberty reserve was shady as fuck. I know a few forums that this closure has fucked up. long live bitcoin.